FOREX TradingCharts.com

Financial News: Russia Central Bank Signals More Rate Cuts Ahead

Russia Central Bank Signals More Rate Cuts Ahead

12/13/2019 - 08:47:00 (RTTNews)

(RTTNews) - Russia's central bank on Friday cut its key interest rate for the fifth consecutive policy session, citing slowing inflation, and signaled more easing is in store.

The Board of Directors, led by Governor Elvira Nabiullina, decided to cut the key rate by 25 basis points to 6.25 percent, the Bank of Russia said in a statement.

The reduction was in line with economists' expectations.

The bank noted that inflation slowdown is overshooting the forecast. Household inflation expectations continue to ease, while those of businesses are largely unchanged.

While the growth rate of the Russian economy increase in the third quarter, its stability is yet to be assessed, the bank said.

The bank expects the growth rate to be close to the upper bound of its forecast of 0.8-1.3 percent this year. The growth rate is forecast to rise gradually to 2-3 percent by 2022.

"Risks of a substantial global economic slowdown persist," the Bank of Russia said.

"Disinflationary risks still exceed pro-inflationary risks over the short-term horizon."

Annual inflation is expected to be 3.5-4 percent in 2020 and to remain close to 4 percent thereafter, thanks to the monetary policy stance. The bank sees inflation to range between 2.9-3.2 percent at the end of 2019.

Headline inflation is expected to be below 3 percent in the first quarter of next year, when the effect of the VAT rate hike will be factored out from its calculation.

"If the situation develops in line with the baseline forecast", the Bank of Russia said it "will consider the necessity of further key rate reduction in the first half of 2020." The next policy session is due on February 7.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2019 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


IMF Lowers Global Growth Forecast As India Loses Steam (06 hr(s), 04 min(s), 56 sec(s) ago)
(RTTNews) - The International Monetary Fund on Monday cut the global growth forecasts for this yea ...Full Story»

IMF Lowers Global Growth Forecast As India Loses Steam (06 hr(s), 12 min(s), 56 sec(s) ago)
(RTTNews) - The International Monetary Fund on Monday cut the global growth forecasts for this yea ...Full Story»

German Economy Probably Stagnated In Q4 - Bundesbank (07 hr(s), 13 min(s), 56 sec(s) ago)
(RTTNews) - Germany's economy likely stagnated in the final three months of 2019, the Bundesba ...Full Story»

Moody's Lowers Hong Kong Credit Rating, Outlook (07 hr(s), 26 min(s), 56 sec(s) ago)
(RTTNews) - Moody's Investors Service lowered Hong Kong's credit rating and outlook on Mon ...Full Story»

Moody's: UK Credit Conditions To Remain Stable In 2020 (08 hr(s), 51 min(s), 56 sec(s) ago)
(RTTNews) - Credit quality of new securitisations and covered bonds in the UK will remain stable t ...Full Story»

Pressures On British Household Finances Ease: IHS Markit (09 hr(s), 16 min(s), 56 sec(s) ago)
(RTTNews) - Pressures on the UK household finances eased in January, a consumer survey from IHS Ma ...Full Story»

China Keeps Loan Prime Rates Unchanged (09 hr(s), 14 min(s), 56 sec(s) ago)
(RTTNews) - China kept its benchmark lending rates unchanged for the second straight month, as wid ...Full Story»

Norway Industrial Confidence Falls In Q4 (09 hr(s), 39 min(s), 56 sec(s) ago)
(RTTNews) - Norway industrial confidence decreased in the fourth quarter, data from Statistics Nor ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

IMF Lowers Global Growth Forecast As India Loses Steam

01/20/2020 - 10:15 AM (RTTNews)
(RTTNews) - The International Monetary Fund on Monday cut the global growth forecasts for this yea ...Full Story>>

IMF Lowers Global Growth Forecast As India Loses Steam

01/20/2020 - 10:07 AM (RTTNews)
(RTTNews) - The International Monetary Fund on Monday cut the global growth forecasts for this yea ...Full Story>>

German Economy Probably Stagnated In Q4 - Bundesbank

01/20/2020 - 09:06 AM (RTTNews)
(RTTNews) - Germany's economy likely stagnated in the final three months of 2019, the Bundesba ...Full Story>>

Moody's Lowers Hong Kong Credit Rating, Outlook

01/20/2020 - 08:53 AM (RTTNews)
(RTTNews) - Moody's Investors Service lowered Hong Kong's credit rating and outlook on Mon ...Full Story>>

Moody's: UK Credit Conditions To Remain Stable In 2020

01/20/2020 - 07:28 AM (RTTNews)
(RTTNews) - Credit quality of new securitisations and covered bonds in the UK will remain stable t ...Full Story>>
Copyright © 2020. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.